The Inherent Flaw of Using Averages

Most white collar organizations rely on average
processing times to underpin their benchmarks
and performance standards. In fact, the use
of “averages” in calculating benchmarks is so
prevalent and widespread in the white collar
environment that executives frequently fail to grasp the serious consequences of using
this approach. The time has come to revisit
organizational benchmarks. By shifting their
thinking and by embracing benchmarks based on
value added standards instead of averages, leaders
will position their businesses to achieve dramatic
performance improvements and activate a new
model of operational excellence.